The effectiveness of government's intervention on building management of multi-ownership residential buildings in Hong Kong

by Leung, Chui-shan

Abstract (Summary)

(Uncorrected OCR)
ABSTRACT
The housing shortage in 1950s had led to tremendous constructions in housing in Hong Kong, especially the high-rise residential buildings with multiple ownerships. During the housing evolution from one stage to another, building management problems had been continuously created. Without stringent government control in the early stage, there is no Deed of Mutual Covenant (DMC) in some aged residential buildings or the DMC contains unclear and unfair terms for the residents. As people became much concern on their rights in the living places, the government has rendered concerted efforts to provide and strengthen the building management regulations from time to time which aim to strike a fair balance between all parties involved, such as the developer, building manager and individual owners.
Most of the DMCs are standardized for new developments nowadays. The enactment and recent amendments of the BMO had provided a consolidated management instructions from the legal aspect. The BMO also overrides the unclear and unfair terms in the DMC, especially for the aged buildings. The guidelines for DMC issued by LACO have also provided a clear indication for the developers in drafting DMC for a new building.
Under the existing legal framework, a balance of interests between the parties involved becomes a question. It has been controversial that some
5
government controls on building management are of the interest to the developer, the building manager or the residents. As a result, this study aims to evaluate the effectiveness of government intervention on private residential buildings. Whether the government could achieve a fair balance of interest between developer, building manager and individual owners will be focused in this study.
Site survey and personal interviews have been conducted to substantiate the study. Most of the regulations and guidelines are found clear and fair to all parties involved. Notwithstanding, there are still loopholes in the existing legal framework such as lack of government's enforcement and embarrassing role of building manager which require government's attention for further improvement. It is recommended that the enforcement of existing legal framework and the empowerment of building managers should be strengthened. The unclear and unfair terms on DMC should be overrided and review of BMO should be carried out from time to time. Last but not the least, it is the government's responsibility to ensure the service provider, i.e. the building manager, should have professional recognition in order to provide a qualitative building management service to the residents. The fair balance of interests of all parties involved in the building will therefore be protected and ensured.
6